Kenyan tycoon John Kimani has lost $3.2 million on his investments in Kakuzi Plc since the beginning of the year, as a result of a significant drop in the company’s shares by a double-digit percentage on the Nairobi Securities Exchange (NSE).
The drop in Kakuzi shares can be attributed to a trend in which foreign investors have reduced their exposure to Kenya.
This has resulted in a widespread sell-off of shares in several Kenyan companies, resulting in a double-digit percent drop in the share price of Kakuzi on the NSE.
Kakuzi is a leading agro-allied company that trades on the NSE. Avocados, blueberries, macadamia nuts, tea, cattle, and commercial forestry are among the products grown, processed, and sold by the corporation.
The company’s board of directors includes John Kimani, a prominent Kenyan businessman and investor who owns 34.54 percent of Kakuzi, or 6,762,133 shares.
His investment in the company is part of his multimillion-dollar portfolio, which also includes stakes in Centum Investments and Nation Media Group.
At the time of writing, Kakuzi shares were trading on the NSE or Ksh319.25 ($2.35) per share, giving it a market capitalization of Ksh6.26 billion ($46.1 million).
Since the start of 2023, the company’s share price has dropped by more than 17 percent, from Ksh385 ($2.84) on Jan. 1 to Ksh319.25 ($2.35) on April 25, resulting in millions of dollars in losses for shareholders such as Kimani, who owns 34.54 percent of the company.
Kimani’s stake in Kakuzi has decreased by Ksh44.61 million ($3.28 million) since the beginning of the year, from Ksh2.6 billion ($19.19 million) on Jan. 1 to Ksh2.16 billion ($15.92 million) at the time of writing this report.
Despite the decrease in his stake, the Kenyan businessman remains one of the richest investors on the NSE.
